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The §45X Advanced Manufacturing Production Credit
Section 45X gives U.S. manufacturers a per-unit credit for producing and selling eligible clean energy components. These include solar modules and cells, inverters, battery cells and modules, wind components and critical minerals. It remains one of the largest sources of transferable credits.
Credit amounts (examples)
- Battery cells: $35 per kWh of capacity. Battery modules: $10 per kWh.
- Solar modules: 7 cents per watt (DC). Photovoltaic cells: 4 cents per watt.
- Critical minerals and electrode active materials: 10% of production costs.
OBBBA changes
- Wind components produced and sold after December 31, 2027 don't qualify.
- Critical minerals (other than metallurgical coal) phase down to 75% in 2031, 50% in 2032 and 25% in 2033, then end. Metallurgical coal qualifies through 2029.
- Other components keep the original phase-down, beginning with components sold in 2030.
- Integrated components sold after 2026 need 65% U.S.-sourced primary-component content.
- FEOC: for tax years beginning after July 4, 2025, specified and foreign-influenced entities can't claim the credit, and material-assistance limits apply.
- Transfers to specified foreign entities are prohibited (§6418(g)(5)).
Why buyers like 45X credits
45X credits aren't subject to ITC-style five-year recapture. They're generated as components are sold, which creates a steady supply. Talk to us about buying 45X credits.
Frequently asked questions
Are 45X credits transferable?
Yes, under §6418, except to specified foreign entities.
Is there recapture on 45X?
45X does not have the five-year ITC recapture regime, though buyers still diligence eligibility and excessive-credit risk.
Owe $50k or more in federal tax?
Tell us your estimated liability and timing. We will show you what transferable credits are available and walk your CPA through the diligence.